CHICAGO, IL – U.S. Representative Jan Schakowsky (D-IL) today released a new report that shows that drug manufacturers on average charge more than twice as much when drugs are intended for human use than for animal use.  As a result of this action by the drug firms, Schakowsky said uninsured seniors living in her district, which includes the Northern lake front and Northwest side wards, Evanston, Niles, Skokie and Morton Grove, are forced to pay "extortionist prices" for their medications.
 
 "It is shocking that drug manufacturers give a price break to Lassie and Benji and then turn around and charge the elderly more than double for heart and arthritis medication.  This is a clear-cut case of price discrimination.  Maybe those seniors should just send their household pets to the vet to get their owners' prescriptions filled," Schakowsky said.

 Schakowsky added, "Pets are our companions and we want to take care of them well.  Human beings also deserve the best care we can provide and should not be charged more than double for the same drugs that our cats and dogs get."

 The report found that for the eight most popular drugs, manufacturers charge an average of 151% more when the drug is intended for human use than when it is intended for animal use.  These eight brand name drugs are among the top 200 drugs approved for use in the same form, but different dose, for both humans and animals and are commonly obtained via outpatient prescription.  The heart medication Lanoxin, the 9th most popular drug sold in the United States, has a price differential of 303%.  This means manufacturers charge four times more when Lanoxin is used by humans.

Drug Name	Manufacturer of Human Version	Human Use	Manufacturer Price (One Month Supply)		Price Differential
			Animal Market	Human Market
Lanoxin	Glaxo Wellcome	Heart Failure	$6.36	$25.65	303%
Bactroban	SmithKline Beecham	Antibiotic	$9.98	$31.56	216%
Augmentin	SmithKline Beecham	Antibiotic	$18.00	$56.40	213%
Lodine	American Home Products	Arthritis	$37.80	$108.90	188%
Stadol	Bristol Myers Squibb	Pain Relief	$25.48	$61.11	140%
Lasix	Hoechst Marion Roussel	High Blood Pressure	$4.80	$9.60	100%
Vasotec	Merck	High Blood Pressure	$51.30	$78.55	53%
Amoxil	SmithKline Beecham	Antibiotic	$16.20	$15.30	-6%
Average for Eight Drugs					151%

 In addition, the report found that price gouging also exists for the eight brand name drugs that are made for the human and animal markets in the exact same form and dosage by the same or related companies.  For those drugs, the manufacturers charge on average 131% more when the drugs are intended for human use instead of animal use. Medrol, when used to treat arthritis, asthma, and allergies in humans, is 415% more expensive than when it is used as an anti-inflammatory agent in dogs and cats. 

Drug Name	Manufacturer	Human Use	Manufacturer Price (Monthly Supply)		Price Differential
			Animal Market	Human Market
Medrol	Pharmacia and Upjohn	Arthritis; Allergies; Asthma	$3.90	$20.10	415%
Winstrol	Sanofi	Anemia; Renal Disease	$5.40	$19.20	256%
Lodine	American Home Products	Arthritis	$37.80	$108.90	188%
Robaxin	A.H. Robins	Pain Relief	$15.00	$31.20	108%
Vasotec	Merck/Merial	High Blood Pressure	$51.30	$78.55	53%
Cleocin	Pharmacia and Upjohn	Antibiotic	$17.10	$22.20	30%
Robinul	A.H. Robins	Ulcers	$29.40	$29.98	2%
Fulvicin U/F	Schering	Antifungal	$38.40	$36.60	-5%
Average for Eight Drugs					131%

"The Drug manufacturers know that seniors make up 12% of the population, yet use one-third of all prescriptions.  So they take advantage of that fact and charge seniors extortionist prices. As a result, we are seeing the drug firms' profits soar and many seniors' quality of life decline," Schakowsky said

Schakowsky said working to pass H.R. 664, the Prescription Drug Fairness for Seniors Act, is one of her top priorities when she returns to Congress next year. The bill, which is cosponsored by 137 House members, would allow pharmacies to purchase drugs for Medicare beneficiaries at the same low prices available to the federal government and other favored customers, including HMOs and insurance companies.  The legislation is estimated to reduce prices by more than 40%.

 The report, released today by Schakowsky, was prepared by the Democratic staff of the House Government Reform Committee and investigated drug prices at the manufacturer level.  The focus was the prices that drug manufacturers charge wholesalers of human and animal drugs rather than the prices that wholesalers charge pharmacists and veterinarians or the prices that pharmacists and veterinarians charge individual consumers. Earlier this year, Schakowsky had released two other reports that found that uninsured seniors living in the 9th Congressional District are being gouged by the pharmaceutical companies.  The first report found uninsured seniors living in the Chicago area pay 114% more for their medications as compared to HMOs and insurance companies. The second report concluded that seniors living in the Chicago area pay 80% more for the same drugs sold in Mexico and Canada.  

 "One out of every eight seniors is forced to choose between buying food and filling a prescription.  That is shameful and inexcusable.  No one should have to make that painful and sometimes life threatening decision," Schakowsky said.